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Domtar to Buy George Weston's
E.B. Eddy Units for $544.8 Million

By

Christopher J. Chipello Staff Reporter of The Wall Street Journal

Updated June 17, 1998 12:01 a.m. ET

MONTREAL -- Domtar Inc. agreed to buy the E.B. Eddy forest-product units of George Weston Ltd. for 803 million Canadian dollars (US$544.8 million) in cash and stock, in a deal that continues consolidation in the paper industry.

The transaction will reinforce Domtar's position as the biggest Canadian producer of fine papers and make it the seventh-largest North American maker of such papers, used for printing, writing and specialized...